Doha: Qatar has taken a significant step towards strengthening its innovation-driven economy, with the Qatar Investment Authority (QIA) announcing a $2 billion expansion of its venture capital programme, sharply increasing state-backed support for startups and high-growth technology firms. The decision underscores the Gulf nation’s determination to reduce its long-standing dependence on hydrocarbons and position itself as a competitive hub for entrepreneurship and advanced industries.
The expansion, announced by Prime Minister and Foreign Minister Sheikh Mohammed bin Abdulrahman Al Thani, will raise the total size of QIA’s flagship Fund of Funds programme to $3 billion. The initiative is designed to attract leading global venture capital firms to Qatar, encourage capital deployment into promising startups, and build a sustainable venture ecosystem within the country and the wider Middle East and North Africa (MENA) region.
According to officials, the Fund of Funds model allows QIA to invest in established international and regional venture capital funds, which in turn channel money, expertise and networks into emerging companies. This approach is expected to bridge funding gaps faced by early- and growth-stage startups while also importing global best practices in innovation financing, governance and scaling businesses.
In parallel with the financial expansion, Qatar plans to introduce a long-term 10-year residency programme for entrepreneurs, founders and senior executives, aimed at making the country a more attractive base for global talent. The move mirrors similar initiatives in neighbouring Gulf states and reflects intensifying regional competition to host technology firms, startup accelerators and innovation-driven capital.
The expanded venture programme is expected to prioritise sectors aligned with Qatar’s long-term development goals, including financial technology, artificial intelligence, health technology, climate solutions, logistics and supply-chain innovation. By targeting these areas, the government aims to foster industries that can generate high-value jobs, boost productivity and create export-oriented digital services.
Qatar’s push comes amid growing momentum in its startup ecosystem. Venture capital investments in the country have risen sharply in recent years, with early-stage funding gaining traction as regulatory frameworks improve and state-backed institutions step in to reduce risk for private investors. Policymakers believe the enlarged Fund of Funds will further accelerate this trend and position Doha as a credible alternative destination for venture capital in the region.
Analysts note that QIA’s strategy combines commercial investment objectives with national economic priorities. While the fund seeks competitive financial returns, it is also being deployed as a policy tool to support diversification, knowledge transfer and long-term economic resilience under Qatar’s broader national vision.
With this latest announcement, Qatar signals that innovation, entrepreneurship and venture capital will play a central role in shaping its post-energy future. The $2 billion expansion is expected to strengthen investor confidence, attract international venture firms, and deepen the country’s integration into the global startup and technology landscape.